The Greater Hyderabad Municipal Corporation is mired in huge debts. The Corporation is paying One Crore Rupees only on the interest every day. Officials say the Government is not providing rupee assistance to the Greater Corporation and the GHMC already has debts of Rs 4,590 crore.
The state government has stopped paying bills of Rs 600 crore, and the burden of projects on the GHMC head is increasing every year. Moreover, GHMC Finance Department is worried about the first of every month due to interest, installments payments, etc. As a result, the salaries and wages are also being paid late.
The financial health of the Corporation is in bad shape, and as a result, the routine operations are also badly impacted. Bills worth Crores were also stalled, and the contractors are not coming forward to take up new works of the Corporation. Moreover, the state government has become a big debtor to GHMC. The Corporation which does everything to recover dues from commoners could do nothing about the Government's defaults.